Key Energy Provides Activity and Selected Financial Data

HOUSTON, Sept. 24  /PRNewswire-FirstCall/ -- Key Energy Services, Inc. (Pink Sheets: KEGS) announced its rig and trucking hours for the month of August 2007 and provided its August selected financial data.

  August Rig and Trucking Hours

                                          For the month ending
                           August 31, 2007   July 31, 2007   August 31, 2006

  Working Days                    23              21                23
  Rig Hours                     214,054        199,991           243,416
  Trucking Hours                200,895        186,119           208,882



The Company calculates working days as total weekdays for the month less any Company holidays that occur that month.  For the month of September 2007, there are 19 working days.

  August Select Financial Data

                                                 Month Ended
                                               August 31, 2007
                                               (In thousands -
  Select Statement of Operations Data:            Unaudited)

  Revenue:
  Well servicing                                  $109,645
  Pressure pumping                                  26,280
  Fishing and rental services                        8,324
  TOTAL REVENUE                                   $144,249

  Select Balance Sheet Data:
   Cash and cash equivalents                       $65,267
   Short-term investments                          113,865

  Conference Call


The Company will hold an investor conference call today at 10:00am EDT. To access the call, which is open to the public, please call the conference call operator at the following number: [phone] and ask for the "Key Energy Conference Call." International callers should dial [phone]. The conference call will also be available on the web. To access the webcast, go to http://www.keyenergy.com/ and select "Investor Relations." A replay of the conference call will be available beginning at 3:00pm EDT today and will be available for one week. To access the replay, please call [phone]. The access code for the replay is 17791693.

Key Energy Services, Inc. is the world's largest rig-based well service company.  The Company provides oilfield services including well servicing, pressure pumping, fishing and rental tools, electric wireline and other oilfield services.  The Company has operations in all major onshore oil and gas producing regions of the continental United States and internationally in Argentina and Mexico.

Certain statements contained in this news release constitute "forward- looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995.  These forward-looking statements are based on current expectations, estimates and projections about the Company, the Company's industry, management's beliefs and certain assumptions made by management. Whenever possible, the Company has identified these "forward-looking statements" by words such as "expects," "believes," "anticipates" and similar phrases.  Readers are cautioned that any such forward-looking statements are not guarantees of future performance and are subject to certain risks, uncertainties and assumptions that are difficult to predict, including, but not limited to: risks that the Company will be unable to complete its new capital investment plan, including that it will be unable to complete acquisitions and integrate acquired operations and that it will be unable to secure new debt financing on acceptable terms and conditions in order to enable it to complete acquisitions or repurchase stock; possible legal consequences of failure to file compliant SEC filings for 2003, 2004 and 2005; possible additional tax liabilities as a result of the restatement of financial results; risks that the Company's efforts to remediate internal control and accounting deficiencies will not be effective;  possible risks that the preliminary settlement of class action and derivative litigation will not be completed; on-going financial impact of litigation with former officers; risks affecting the ability of the Company to maintain or improve operations, including the ability to maintain price increases, possible over supply of new rigs coming into the market and weather risk; and risks that the Company will be unable to achieve budgeted financial targets and risks affecting activity levels for rig hours including the risk that commodity prices decline or the risk that capital budgets from the Company's customers decrease.  Readers should also refer to the section entitled "Risk Factors" in the 2006 Annual Report on Form 10-K filed August 13, 2007 for a discussion of risks to which the Company is subject.  Because such statements involve risks and uncertainties, the actual results and performance of the Company may differ materially from the results expressed or implied by such forward- looking statements.  Given these uncertainties, readers are cautioned not to place undue reliance on such forward-looking statements.  Unless otherwise required by law, the Company also disclaims any obligation to update its view of any such risks or uncertainties or to announce publicly the result of any revisions to the forward-looking statements made here; however, readers should review carefully reports or documents the Company files periodically with the Securities and Exchange Commission.

Contact:  John Daniel

[phone] 

DATASOURCE: Key Energy Services, Inc.



CONTACT: John Daniel of Key Energy Services, Inc., [phone]



Web site:  http://www.keyenergy.com/

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